Congress-backed middlemen artificially inflating prices: BJP

NEW DELHI: With the Narendra Modi government facing criticism over increasing prices of onion and other essential commodities, BJP has come out in defence of the Cabinet, alleging that Congress-backed middlemen are artificially inflating prices.

"The price of onions from Madhya Pradesh and Rajasthan veers between Rs 10-22, we suspect the rise is due to a few middlemen considered close to Congress, who are artificially raising prices," said BJP's national media convenor Shrikant Sharma. He added that a crackdown on such hoarders will be done quickly and state governments have been issued instructions to that effect.

Sharma said the government has taken several steps to contain the rise of essential commodities, including the decontrol of vegetables and fruit from the control of middlemen and setting up of fair price shops in over 200 locations in Delhi alone. Party spokesperson Sudhanshu Trivedi said some of the government measures like a rise in fuel prices and tariffs for rail were temporary measures, and that conditions on price rise will ease after the presentation of the Union budget next month.

"Some of these measures are temporary, needed to stabilise matters in the immediate future, but the government will come up with some effective measures in the long term soon," Trivedi said. Government sources, meanwhile, said prices of kerosene and subsidised LPG will not be hiked. "While these commodities have little to do with the situation in Iraq, the effort of the government is to not touch these commodities and to bring down the effect of such external situations on fuel prices, especially diesel," said a top source in the government.

BJP has been taking its time transforming from a belligerent opposition to a party in power. "It is not always possible for the ministers newly inducted in the government to defend it. The party will be stepping in more and more," said a party insider on condition of anonymity. Union Finance MinisterArun Jaitley had held a meeting with BJP spokespersons for the same 10 days ago.